Spur Acquires 60% Stake in Doppio: Strengthening Position in Specialty Dining Market

Spur, a JSE-listed restaurant group, plans to buy a 60% stake in the Doppio Group in order to strengthen its position in the daytime speciality dining and coffee markets. Spur announced the acquisition on Thursday as part of its strategy to expand into new categories and markets where it is currently under-represented.

While the exact value of the transaction has not been disclosed to investors, it is known that the Doppio Group achieved over R600 million in total sales during the fiscal period ending February 2023. Doppio has 37 franchised and company-owned restaurants in its portfolio, including well-known brands such as Doppio Zero, Piza e Vino, and Modern Tailors.

Spur’s CEO, Val Nichas, expressed excitement about the acquisition, claiming that it would nearly double the company’s speciality dining portfolio and significantly increase its share of the daytime speciality dining market. Spur’s speciality brands currently consist of 40 restaurants, including The Hussar Grill, Nikos, and Casa Bella, with dinner trade accounting for approximately 71% of their turnover.

Spur will take over 669 Doppio employees, while co-founders Paul Christie and Miki Milovanovic will remain as executives for at least five years. Because both parties share a common focus on customer hospitality and creating exceptional dining experiences, the partnership is strategically aligned with Doppio’s vision of expanding its unique brands to more regions within South Africa and across the continent.

Doppio Group’s restaurants are currently more prevalent in Gauteng, but the acquisition opens the door to national expansion. The transaction is subject to all conditions being met and receiving approval from competition authorities, with an expected effective date of September 1, 2023.

To summarise, Spur’s acquisition of a majority stake in the Doppio Group represents a significant step forward in the restaurant industry, putting the company on track for growth and market dominance in the daytime speciality dining and coffee sectors. Spur and Doppio hope to improve their offerings and expand their presence throughout South Africa and beyond through this strategic partnership.